Development August 2012 Monthly Development update from DHAN Collective Matters

Feature Initiaitve Grassroots Stories Climate Change and Herbal gatherers 9 Coir changed my life 16 Food Security 1

Feature Climate Change and Food Security From the Editors’ Desk Development Dear Readers,

Monthly Development update from DHAN Collective Matters Greetings! Vol. VI Issue 8 August 2012 This issue features a article on Climate change and Food security which discusses the future of billions of farmers who depend on it. Maruthi Mooligai Producer Company is the new initiative of Herbal gatherers in Southern Districts of Tamil Nadu. This initiative also features in this issue. The article justice at door steps discusses the piloting of micro-justice in people federation promoted by DHAN Foundation. The story of Mrs.Jaya who came up in life with the support of Kalanjiam and its coir based livelihood initiative also features in this issue. This issue also captures the One Village-One Variety scheme launched in village. A book review on "The confession of a microfinance heretic - how microlending losts its ways and betray poor" is presented in this issue. Know your heritage speaks about a thousand year old temple in Vikramangalam village, district. Feature Climate change and Food security The readers are welcome to give their suggestions and feedbacks on the articles featured in the development matters. They can send their mails to [email protected] Happy reading!

Climate change poses a potential threat to the food security of the world. Particularly the developing countries in the tropical regions will suffer due to this. This article briefs the impact of Climate change on food productivity.

Contents

1. Climate Change and Food Security 1 R.Adhinarayanan

2. Herbal gatherers - Maruthi Mooligai Producer Company 9 M.Malini

3. Justice at door steps: Microjustice 12 Anusha

DHAN Foundation 4. Coir changed my life 16 18, Pillaiyar Koil Street, S.S. Colony S.Shankarapandian Madurai 625 016. Tamil Nadu, INDIA Tel.: +91 452 2610794 / 805 Fax: 2602247 5. One Village-One Variety scheme launched 20 Email: [email protected] Website: http://www.dhan.org 6. Book Review 23 1

Feature Climate Change and Food Security R.Adhinarayanan * Climate Change temperatures over the past 50 years.

Climate change is a significant and lasting change in Climate change is already showing us what's in store the statistical distribution of weather patterns over for our future. It keeps on giving warning signs that periods ranging from decades to millions of years. It we continue to neglect. Growing temperature, variation may be a change in average weather conditions, or in in duration and pattern of rainfall, increase in both the distribution of weather around the average conditions frequency and magnitude of natural calamities and above (i.e., more or fewer extreme weather events). In its all global level fight over natural resources- land, oil, recently released Fourth Assessment Report, the water, minerals etc. shows how precious these natural Intergovernmental Panel on Climate Change, of the resources are becoming. Not only Industries, natural United Nations, concluded there's a more than 90 percent resources are misused for agriculture, to keep in tune probability that human activities over the past 250 years with the global food needs. have warmed our planet. The industrial activities that our modern civilization depends upon have raised The challenge posed by Climate change to agriculture atmospheric carbon dioxide levels from 280 parts per also leaves a big question mark over future food security million to 379 parts per million in the last 150 years. and also on lives of billions farmers who depend on it. The panel also concluded there's a better than 90 percent Agriculture is now seen as an unviable livelihood option, probability that human-produced greenhouse gases such the fact being visible from migration of youths in villages as carbon dioxide, methane and nitrous oxide have towards nearby towns and cities, which is due to the caused much of the observed increase in Earth's fact that income from agriculture is becoming more https://www.e-education.psu.edu/geog438w/node/240

Courtesy:

*Mr. R.Adhinarayanan, Team Leader, DHAN Foundation 2

and more unreliable. Agriculture uses 70 % of world's since about 1970, with limited evidence of increases fresh water availability, which is becoming more and elsewhere. There is no clear trend in the annual scarcer. But we need more food, more and more food numbers of tropical cyclones. It is difficult to to keep our world hunger free. ascertain longer-term trends in cyclone activity, particularly prior to 1970. Impacts of climate change  Average Northern Hemisphere temperatures during The IPCC in its fourth assessment report on Climate the second half of the 20th century were very likely change has observed the following as impacts of climate higher than during any other 50-year period in the change on human and natural environment. last 500 years and likely the highest in at least the past 1300 years.  Eleven of the last twelve years (1995-2006) rank among the twelve warmest years in the instrumental  Changes in snow, ice and frozen ground have with high confidence increased the number and size of record of global surface temperature (since 1850). glacial lakes, increased ground instability in mountain The temperature increase is widespread over the and other permafrost regions and led to changes in globe and is greater at higher northern latitudes. some Arctic and Antarctic ecosystems.  Land regions have warmed faster than the oceans  There is high confidence that some hydrological  Global average sea level has risen since 1961 at an systems have also been affected through increased average rate of 1.8 [1.3 to 2.3] mm/yr and since runoff and earlier spring peak discharge in many 1993 at 3.1 [2.4 to 3.8] mm/yr, with contributions glacier- and snow-fed rivers and through effects from thermal expansion, melting glaciers and ice on thermal structure and water quality of warming caps, and the polar ice sheets. Whether the faster rivers and lakes. rate for 1993 to 2003 reflects decadal variation or  In terrestrial ecosystems, earlier timing of spring an increase in the longer-term trend is unclear events and pole ward and upward shifts in plant  Observed decreases in snow and ice extent are also and animal ranges are with very high confidence consistent with warming. Satellite data since 1978 linked to recent warming. show that annual average Arctic sea ice extent has  In some marine and freshwater systems, shifts in shrunk by 2.7 [2.1 to 3.3]% per decade, with larger ranges and changes in algal, plankton and fish decreases in summer of 7.4 [5.0 to 9.8]% per abundance are with high confidence associated with decade. Mountain glaciers and snow cover on rising water temperatures, as well as related changes average have declined in both hemispheres. in ice cover, salinity, oxygen levels and circulation.  From 1900 to 2005, precipitation increased  Of the more than 29,000 observational data series, significantly in eastern parts of North and South from 75 studies, that show significant change in America, northern Europe and northern and central many physical and biological systems, more than Asia but declined in the Sahel, the Mediterranean, 89% are consistent with the direction of change southern Africa and parts of southern Asia. expected as a response to warming  Globally, the area affected by drought has likely2 increased since the 1970s. It is very likely that over Projected Impacts of Climate change the past 50 years: cold days, cold nights and frosts  There is high agreement and much evidence that have become less frequent over most land areas, with current climate change mitigation policies and and hot days and hot nights have become more related sustainable development practices, global frequent. It is likely that: heat waves have become GHG emissions will continue to grow over the next more frequent over most land areas, the frequency few decades of heavy precipitation events has increased over most  Continued GHG emissions at or above current rates areas, and since 1975 the incidence of extreme high would cause further warming and induce many sea level3 has increased worldwide. changes in the global climate system during the 21st  There is observational evidence of an increase in century that would very likely be larger than those intense tropical cyclone activity in the North Atlantic observed during the 20th century 3

 Very likely increase in frequency of hot extremes, observed over eastern Madhya Pradesh, north- heat waves and heavy precipitation eastern India, and some parts of Gujarat and Kerala  Likely increase in tropical cyclone intensity; less (-6% to -8% of the normal over the last 100 years).ia confidence in global decrease of tropical cyclone and parts of south India. numbers  States of Gujarat and West Bengal has shown  Pole ward shift of extra-tropical storm tracks with increasing trend of drought and floods, while Orissa consequent changes in wind, precipitation and shows a decreasing trend. Overall changes is temperature patterns negligible  Very likely precipitation increases in high latitudes  The sea level rise was between 1.06-1.75 mm per and likely decreases in most subtropical land regions, year. These rates are consistent with 1-2 mm per continuing observed recent trends year global sea level rise estimates of IPCC.  Terrestrial ecosystems like tundra, boreal forest and Projected Changes over 21st Century mountain regions because of sensitivity to warming;  Annual mean surface temperature rise by the end of Mediterranean-type ecosystems because of century, ranging from 3 to 5° C under A2 scenario reduction in rainfall; and tropical rainforests where and 2.5 to 4° C under B2 scenario of IPCC, with precipitation declines are to be affected warming more pronounced in the northern parts of  Coastal ecosystems (mangroves and salt marshes) India, from simulations by Indian Institute of Tropical and Marine ecosystems (Coral reefs) will be affected Meteorology (IITM), Pune due to multiple stresses  Summer monsoon intensity may increase beginning  Agriculture in low latitude will be affected due to from 2040 and by 10% by 2100 under A2 scenario water scarcity of IPCC  Ocean acidification through reduction in average  Changes in frequency and/ or magnitude of extreme global surface ocean pH of between 0.14 and 0.35 temperature and precipitation events. units over the 21st century. While the effects of observed ocean acidification on the marine biosphere Possible Impact of Climate Change in India are as yet undocumented, the progressive  Changes in key climate variables, namely acidification of oceans is expected to have negative temperature, precipitation, and humidity, may have impacts on marine shell-forming organisms (e.g. significant long-term implications for the quality and corals) and their dependent species quantity of water. River systems of the Brahmaputra, the Ganga, and the Indus, which benefit from melting Impact of Climate change in India snow in the lean season, are likely to be particularly In the National Plan on Climate change report the affected by the decrease in snow cover. A decline in Indian Government has stated the following as the total run-off for all river basins, except Narmada observed changes in the climate and Tapti, is projected. A decline in run-off by more than two-thirds is also anticipated for the Sabarmati Changes in Climate and weather events and Luni basins. Due to sea level rise, the fresh water  The surface air temperature at the national level has sources near the coastal regions will suffer salt shown a increase of 0.4° C over the past century. intrusion. A warming trend has been observed along the west  Changes in climate may alter the distribution of coast, in central India, the interior peninsula, and important vector species (for example, malarial north-eastern India. However, cooling trends have mosquitoes) and may increase the spread of such been observed in north-west Ind. diseases to new areas.  A trend of increasing monsoon seasonal rainfall has  Quantity and quality of food production to be been found along the west coast, northern Andhra affected. Pradesh, and north-western India (+10% to +12%  77% and 68% of the forest areas in the country are of the normal over the last 100 years) while a trend likely to experience shift in forest types, respectively of decreasing monsoon seasonal rainfall has been under the two scenarios (A2 and B2 of IPCC), by 4

the end of the century, with consequent changes in forests produce, and, in turn, livelihoods based on those products. Correspondingly, the associated biodiversity is likely to be adversely impacted.  Vulnerable regions like Coastal, arid and semiarid zones are to be affected more by Climate change. About 40 million hectares of land is flood-prone, including most of the river basins in the north and the north-eastern belt, affecting about 30 million people on an average each year. Such regions may be particularly impacted by climate change  A mean Sea Level Rise (SLR) of 15-38 cm is projected along India's coast by the mid 21st century Impact of Climate change on Agriculture and of 46-59 cm by 2100. In addition, a projected increase in the intensity of tropical cyclones poses Impact on food production a threat to the heavily populated coastal zones in the country (NATCOM, 2004). The total food production in India was estimated to be 252 million tonnes in 2011-12. Of this Rice occupies Climate and Agriculture 45 % of total areas under cereals and 24% of the total cropped area in the country. The production of rice Climate change leaves no development priority has shown an upward trend during the period 2005-06 untouched, and the most important effect is on to 2008-09 and it reached a record level of 99.18 million agriculture and its long term sustainability, which is vital tonnes in 2008-09. The production of rice which to cater the primary developmental need "food for declined to 89.09 million tonnes in 2009-10 due to long mouth" and also serves as a livelihood of billions of spells of drought has increased to 102.75 million tonnes people. Agriculture is impacted by climate change, by in 2011-12, the highest ever. The area coverage under way of drought, heat stress, desertification, changes in wheat has shown an upward trend by increasing from rainfall patterns (quantity of rainfall, its distribution 26.38 million hectares in 2004-05 to 28.89 million across the globe and variation in on set of monsoons) hectares in 2011-12. The productivity of wheat which and flooding. Not only this agriculture and forestry are was 2602 kg/hectare in 2004-05 has increased to 3057 also major emitters of greenhouse gases. Hence there kg/hectare in 2011-123. The maize production has also is impact of agriculture on climate change and also there shown a considerable increase, presently being 21 is the impact of climate change on agriculture, the latter million tonnes. being the more cause of concern (Industries share over climate change is considerably more) Table :1 Agricultural production scenario

Production in Production in 2011-12 Commodity 1950(Million tonnes) (Million tonnes)

Food Grains 50 252 Vegetables 58.50 (91-92) 125 Fruits 28.60 (91-92) 63.5 Milk 17 104.8 Egg 1.8 billion 53.5 billion Fish 0.75 7.3 Source: Hari.S.Gupta. FAO-EPSO Consultation: Role and Emerging partnerships for crop improvement in India. IARI, New Delhi (ppt) 5

The table above may show a green picture. But the fact is that food production has increased at a rapid rate post green revolution, but it has been increasing at very small percentage over the past decade is really a cause of concern. The highest annual average increase in grain production was 6.1%, recorded during the 1980s; but the annual increase in grain production dropped to 1.5% in the 1990’s.

Long-term productivity and sustainability of irrigated agriculture in the Indian and Pakistan Punjabs, confirmed that there was much higher and more rapid growth of yields for food crops due to green revolution. However, the results suggest that most of India’s higher better assessment of vulnerability of Indian agriculture growth was due to the more rapid growth of inputs. due to climate change. However, these studies have Though overall productivity growth in the Indian Punjab indicated that the direct impacts of climate changes was higher, it was not by a large margin. The results of would be small on ‘kharif’ crops but overall ‘kharif’ this study also raise serious concerns about the long- agriculture will become vulnerable due to increased term sustainability of intensive irrigated Green incidence of weather extremes such as onset of Revolution systems due to resource degradation monsoon, duration and frequency of drought and floods, and pest incidence and virulence. Production Moreover there is no adequate and convincing of ‘rabi’ crop is relatively more risky due to projection evidence on impact of improved technologies and of larger increase in temperature and higher uncertainties policies followed during different periods since 1951 in in rainfall. Unless considerable adaptation takes place, reducing variation in production and resulting risks. this would result in decreased winter or ‘rabi’ Foodgrains production is found to be highly unstable in production. the states of Maharashtra, Tamil Nadu, Orissa, Madhya Pradesh, Rajasthan and Gujarat over the years. With respect to India the estimated demand for food grains including pulses is 285 million tonnes in 2020, Productivity of most crops is expected to decrease while the present production is 252 million tonnes says marginally by 2020, but by 10- 40% by 2100. Increased Harish Gupta and poses a question whether India will droughts, floods and heat waves will increase be forced to import food grains by 2020. In increasing production variability. the food production, he sees climate change to be the Several other studies projected increase or decrease biggest obstacle in yields of cereal crops (rice,wheat, maize and Under present circumstances of the changed sorghum), Oilseed and pulses crops (soybean, climatic situation and scarcity of resources, it will be groundnut, chickpea, brassica (mustard) and pigeon very difficult for us to increase the food production by pea) depending on interaction of temperature and CO2 60 % by 2050 to feed 9 billion and more people. Various changes, production environment, season and location studies made in India with respect to impact of in India (Table VI). Still the climate change impact temperature and rainfall on yield pattern of major food studies have not conducted on several important crops crops, shows that even a degree raise in temperature in India such as sugarcane, cotton, jute, sunflower, can cost too much (table 2). potato and onion etc., which may be done in future for 6

Table.2 Effect of climate change on productivity of major food crops in India S.No Crops Production 2011-12 Impacts 1 Paddy 102.75 million tonnes an increase of 1-4°C the grain yield reduced on average by 10% for each degree the temperature increased54 2 Wheat 80.6 million tonnes country's annual wheat output could plunge by 6 million tonnes with every 1°C rise in temperature.51 3 Maize 21 million tonnes Assessments indicate a reduction in yield by 3.0%, 9.3%, and 18.3%, in 2020, 2050 and 2080 from current yields59 due to variations in rainfall and temperature Though the temperature increase is expected to impacted sea-level rises and associated intrusion of saline reduce the yield of other crops like leafy vegetables, water. Considering the global level, the FAO estimates chickpeas and other legumes, onion, tomato and castor, the world cereal production to be 2238 million tonnes the increase in CO2 concentration is likely to benefit in 2011-12. However it also reports that, at the current these crops through enhanced growth, higher dry matter forecast level, world cereal production in 2012-13 would production and yield , which will have a natural mitigating be 2.6 percent down from the previous year’s record effect which gives us some console. crop but close to the second largest in 2008. The overall decrease comprises a 5.2 percent reduction in wheat Climate change poses a grave threat to global food production, and a 2.3 percent reduction for coarse security, adding further stress to an already creaking grains, while the global rice crop is seen to remain global food system. Research commissioned for the virtually unchanged. GROW campaign suggests that food prices could double by 2030, with around half the increase driven World food grain reserves also have become by the effects of climate change. dangerously low which is expected to trigger a major a major hunger crisis next year, the United Nations has Increased droughts and floods leading to production warned. Failing harvests in the US, Ukraine and other variability, changes in microbes, pathogenic and pest countries this year have eroded reserves to their lowest infestations, impact on fish breeding, migration, and level since 1974. The US, which has experienced record harvests, Increased water, shelter, and energy heat waves and droughts in 2012, now holds in reserve requirement for livestock, Animal distress due to heat; effects on reproduction and loss of 1.5 million tons of Fig.1 Cereal production utilization & stock status milk by 2020 and Imbalance in food trade due to positive impacts on Europe and N.America, and negative impacts on India are observed to be the other challenges to Indian agriculture The CRRI Vision 2030 report states that conditions for rice production will deteriorate in many parts of India through water shortages, low water quality, thermal stress, floods and in the coastal areas, sea-level rise and more intense tropical cyclones which are all the consequences of climate change. A 15% decrease in irrigated rice yields in developing countries and a 12% increase in rice price is anticipated as a result of climate change by 2050. It is feared that a 20% decline in rice yields can occur in North-West India due to elevated CO2 levels and temperature as well as lack of water. In the low-lying deltas and coastal areas of India, like Ganga, Godavari and Cauvery deltas, similar decline Source: FAO World Cereal supply and demand brief Declining global cereal production in 2012 to further tighten supplies in in rice production is anticipated due to climate change 2012/13, Oct,2012: 04/10/2012 7

a historically low 6.5% of the maize that it expects to Income levels will be many multiples of what they are consume in the next year, says the UN. now. In order to feed this larger, more urban and richer population, food production (net of food used for Thinking futuristically by 2050 the world's population biofuels) must increase by 70 percent. Annual cereal will be above 9 billion,most of the population growth is production will need to rise to about 3 billion tonnes to occur in developing countries. Urbanization will occur from 2.1 billion today and annual meat production will at rapid pace, and about 70 percent of the world's need to rise by over 200 million tonnes to reach 470 population will be urban, compared to 49 percent today. million tonnes.

Effects of Climate Change on existing Programmes in DHAN collective

The climate change under the Tankfed agriculture context will pose a threat to the village ecosystem. The threat to village ecosystem will be caused mainly because of the siltation and dysfunctional tanks which creates havoc on the standing crops which further affects the livelihoods of both the farmers and landless farming community. This will lead to push migration to urban areas which inturn will hamper the farming ecosystem. Thus it leads to loss of productivity, fertility and biodiversity. The effect of Climate change will be in the form of uneven distribution of rainfall leading to crop failure. The distribution varies as late onset of southwest monsoon & early withdrawal of North east monsoon, Frequent long dry spell during cropping season, No change in quantum of rainfall but change in no. of rainy days (decreased rainy days) and Increase in summer rainfall. These variations in the precipitation had led to the extinct of few cropping pattern in local areas. Eg: Groundnut in Thirumangalam and Kallupatti blocks of . The climate change intensifies the natural disaster (flood and cyclone) frequency which inturn affects the development process. The other effects experienced are sea water intrusion and submergence of agriculture lands by backwaters is increasing and it affects the ground water and crop production and Sea level rise in terms of reduced sea shore area as felt by the community. Extreme temperatures in both summer (maximum) and winter (minimum) causes new health problems / new illness Scope for DHANs intervention The new theme for Climate change is launched by DHAN Foundation, since many of the works we do through different thematic institutions qualify as activities for addressing Climate Change issues. The New theme on CCA will help to understand the issues related to climate change faced by the community, their coping measures and gaps in the same at the location and regional level. Scope exists for Climate Change Education to Action at individual and collective levels. Proposed Programme Components The programme components suggested for the new theme of CCA are list as follows. It needs to be short listed by grouping the different components.  Climate Change Research - documentation of local issues, review of existing activities and action plan could be tried. Pilots could be taken in the different contexts of existing theme and new areas.  Climate Change Action – Catastrophe fund /cover support to crop insurance/ health insurance programme, Community fund for CCA, Contingency plan, promoting indigenous coping mechanisms  Energy particularly on promoting renewable energy  Afforestation – protecting as well as planting new trees  Agriculture, conservation of bio-diversity and food security - Soil and moisture conservation measures  Low cost and green technologies under each sector  Disaster Risk Reduction – risk reduction, EWS, Preparedness, Prevention and Mitigation 8

The new theme would be piloted in Rural (Mullai, Marutham - Madurai district), Tribal (Kurunji), Coastal (Neithal -Nagapattinam and Ramanathapuram) contexts to understand the Climate Change effects at micro level and impacts for dissemination. The outcomes of the pilots could be utilised for finalising the components. The new theme has to prepare proposal for implementing the theme as pilot. It is high time that we develop good understanding on the issues of climate change and its effect on poverty. Capacity building of the staffs to inculcate the climate change sense and adapt it in their programs, Identifying the niche areas for Climate Change intervention and piloting of ecosystem based approach to evolve CCA models and developing tools for upscaling in similar context with necessary adaptations will be facilitated through this program.

Way forward Pakistan Punjabs. The World Bank Research Left with this scenario, we have a greater task Observer, vol. 16, no. 2 (Fall 2001) ahead. The developing countries should carefully pan 6. Ramesh Chand and Raju.S.S. Instability in Indian to combat climate change, through appropriate agriculture during different phases of technology strategies to meet the future food demand. More output and policy. National Centre for Agricultural using limited inputs, whether it is land, water, fertilizers, Economics and Policy Research (Indian Council of seeds, crops etc., should be the focus. This would also Agricultural Research), Discussion Paper: NPP 01/ warrant a major change in food habits from "low 2008 nutritive- high input consuming crops" ( rice, wheat) 7. Aggarwal.P.K. Adapting agriculture to global climate to highly nutritive-low input consuming crops (Millets). change. IARI,New Delhi, India Advancement in scientific research, which leads to less 8. Mall.R.K, Ranjeet Singh, Akhilesh Gupta, use of resources, but to maximum returns without any Srinivasan.G and Rathore L.S. Impact of Climate further damage to environment is crucial (e.g., change on Indian Agriculture: A Review. Climatic development of C4 rice). Today the world is following Change (2006) 78: 445-478 a "exploitative" culture without due consideration of the 9. Hari.S.Gupta. FAO-EPSO Consultation: Role and actions on the future society. The world we leave for Emerging partnerships for crop improvement in the next generation must be able to cater all the basic India. IARI, New Delhi (ppt) human needs. The development plans of the nations 10.Aggarwal, PK and DN Swaroop Rani. 'Assessment must be formulated keeping in mind the needs of our of climate change impacts on wheat production in sons and grandsons. India. Page no.9. In Global climate change and References Indian agriculture, Case studies from the ICAR Network Project., Indian Council of Agricultural 1. IPCC, 2007: Summary for Policymakers. In: Climate Research, New Delhi Change 2007: Impacts, Adaptation and Vulnerability. 11.Singh.S.D., Chakrabarti Bidisha and Aggarwal.P.K. Contribution of Working Group II to the Fourth "Impact of Elevated Temperature on Growth and Assessment Report of the Intergovernmental Panel Yield of some Field Crop". Page no.47 in In Global on Climate Change, M.L. Parry, O.F. Canziani, J.P. climate change and Indian agriculture, Case studies Palutikof, P.J. van der Linden and C.E. Hanson, Eds., from the ICAR Network Project., Indian Council Cambridge University Press, Cambridge, UK, 7-22. of Agricultural Research, New Delhi. 2. State of Indian Agriculture 2011-12. Server- 12.Geethalakshmi, V,Palanisamy.K,, Aggarwal.P.K., and 3\3832AGRI\Final Report SIA-Press\Index Lakshmanan.A. 'Impacts of climate on rice, maize, 3. Business standard 23rd Jan, 2012 and sorghum productivity in Tamil Nadu' in Page 4. Thiyagarajan.T.M., and Biksham Gujja. no.18 . In Global climate change and Indian "Transforming Rice production with SRI agriculture, Case studies from the ICAR Network (Systematic Rice Intensification)-Knowledge and Project., Indian Council of Agricultural Research, Practise-Reducing agricultural food print and New Delhi. ensuring food security. National Consortium of 13.Anna Ranuzzi and Richa Srivastava. Impact of SRI,2012. Climate change on Agriculture and Food security. 5. Rinku Murgai, Mubarik Ali, and Derek ByerleeIn. ICRIER Policy series. No:16. May,2012 Productivity Growth and Sustainability in Post-Green 14.Averting global food crisis-Oxfam Briefing Note, Revolution Agriculture: The Case of the Indian and March,2012 9

Initiative Herbal gatherers - Maruthi Mooligai Producer Company M.Malini * Background Availability and Distribution of Medicinal Plants

Kalanjiam Thozilagam Limited is an initiative of India has 15 Agro climatic zones and 17000-18000 DHAN Foundation formed with the objective of species of flowering plants of which 6000-7000 are increasing income of the poor through need and context estimated to have medicinal usage in folk and business interventions. The poor people lack adequate documented systems of medicine, like Ayurveda, Siddha, business knowledge and support to start up a business Unani and Homoeopathy. About 960 species of initiative which can greatly enhance their livelihood. KTL medicinal plants are estimated to be in trade of which plays a crucial role in bridging this gap. It provides 178 species have annual consumption levels in excess market support, to reduce the problem of middlemen of 100 metric tonnes. the people face, gives training and capacity building, promotes primary producer groups and marketing Medicinal plants are not only a major resource base groups and enables them to form producer companies. for the traditional medicine & herbal industry but also Presently KTL is supporting marketing of agricultural provide livelihood and health security to a large segment commodities, sea food marketing ( dry and fresh fish), of Indian population. The Indian medicinal plants and bio fuel marketing (charcoal and fuel wood) and their products also account of exports in the range of medicinal plants marketing. The herbal marketing has a Rs. 10 billion. great potential and currently it is procured from herbal gatherers, who collect the naturally growing herbs in Market Potential foot hills of Himalayas, western ghats and Andoman There is global resurgence in traditional and and Nicobar islands etc., Ninety percent of herbs used alternative health care systems resulting in world herbal for manufacuturing herbal medicines in India comes trade which stands at US$ 120 billion and is expected from such collections. Commercial cultivation of herbal to reach US$ 7 trillion by 2050. Indian share in the plants is yet to pick up in large scale. The KTL has world trade, at present, however, is quite low. supported formation of Mauruthi Mooligai Producer company limited to support the herbal gatherers Herbal gatherers recently. The need for the same and how the activity is organized is presented here. Herbal gathering is a traditional livelihood activity of people particularly women folk living in foot hills of different mountain ranges. In southern districts of Tamilnadu, foot hills of the western ghats are found to be rich in a array of medicinal plants which are gathered by the people. Generally women whose health condition prevents them from doing hard physical labor concentrate on herbal gathering. Hence old women, destitute, landless belonging to most backward or tribal community engage in this activity. They used to start from the village as early as 5 am, walk a few kilometer ranging from 2 to 5 km to reach the foot hills. They will collect whatever herbs they find in gunny bags and return by afternoon or by evening The following are the issues that herbal gatherers face

*Mr. M.Malini, Senior Project Executive, DHAN Foundation 10

 They are largely unorganized and market their harvesting, without uprooting the entire plants but produce individually. plucking specific parts of them based on need, so that  They used to carry very little quantity they have they grow again and again and make the livelihood gathered, to nearby towns for marketing which sustainable. consumes money and time. Procurement centers were also opened in the vicinity  Often the middlemen and traders, cheat them with of herbal gathering villages, to support the primary incorrect weighment and lesser price underrating herbal gatherers groups . These centers have facilities the quality and also lowering the market price. like weighing machines, tarpaulins, enough storage place  They do not have enough facilities for storing and etc. Procurement centres were opened after assessing drying the produce the quanity of herbs that are supplied from the village, , distance to nearby town and number of primary KTL's Intervention gatherers groups to which the center can provide its In order to solve the problem of herbal gatherers service. who belong to the poorest of the poor category and Since most of the gatherers are illiterates, KTL effort to organize these herbal gatherers has groups, appoints a business associate in a cluster for facilitating collectively procure and market the medicinal herbs KTL the purchase, sales and stock maintenance. The thirty started forming the primary herbal gatherers groups as two primary producer groups were promoted by KTL, early as 2005-06. The primary gatherers group usually which was now organized into a producer company consists of 10 to 20 members, mostly women. The called Maruthi Mooligai Plants producer company formation of such groups was initiated in Battalagundu limited. block, of Dindukal district, as a support to the Kalanjiam women initially and later the support was extended to Area of Operation non-members also. As the initiative started providing good results and additional income earning to the The Maruthi Mooligai Producer company has members the activity was expanded to other areas like exposed its Medicinal plants activity in 65 villages and Appanthirupathi, , T.Kallupatti and in 7 districts viz., Madurai, Virudhunagar, Ramnad, Kottampatti blocks in Madurai District, Theni and Sivagangai, Dindigul, Theni and Tuticorin. It has so far Periyakulam Blocks in Theni districts and few villages established twenty procurement centers and four in Virudhunagar, Ramanad and Sivakangai districts. storage godowns. The storage godowns were located Curretly more than 1000 such herbal gatherers were at Sivarpatti, Retraipatti, Ramanaikkanpatti & organized. Appanthirupathi villages. The major medicinal plants procured and marketed through these centers were KTL also provides support for training and capacity Thulasi, Vatta sarana kodi (punarnava), Melanelli, Sakkari building on good farm collection practices (GFCP) and Kolli leaves, Neem leaves, Karisalaanganni and also on the different medicinal plants and their large Keezhanelli. The quantity of the major medicinal plants scale market potential. More specifically training was procured since 2006 and their procurement value is given to herbal gatherers on regenerative method of presented in the given table. Table: Medicinal Plants and Procured - April2006- March, 2012 S.No Medicinal plant Quantity procured (kgs) Value (Rs) 1 Thulasi 4,90,147 80,60,984 2 Vatta Sarana Kodi( Punarnava) 1,44,881 11,63,622 3 Melaanelli 1,07,535 7,14,746 4 Sakkarai Kolli leaves 28,093 7,18,188 5 Neem Leaves 1,35,412 8,70,771 6 Karisalaangani 90,799 8,28,582 7 Keezhanelli 10,408 2,16,899 Total 10,07,275 125,73,792 11

Besides this KTL also facilitating the marketing of leaves, Avarampoo, Moringa Pirandai, Morniga leaves, Vallaarai, Sirukurinjaan, seeds and barks etc., After Siriyaanangai, neem dried fruits, Oridhazh thamarai, collecting we dry them and Mudakkathan, Seendhil kodi, Vatta sarana roots, Avaram process them without dust and poo and leaves, Kozhinji, Nannari roots, Oomathai other unwanted materials. A leaves, Nilapannai Kizhangu, Nelli kai, notchi, one week of such a collection parpadagapul and Manjanathi kai. enables to market 15 to 25 kgs To conclude of dry medicinal plants. Earlier we use to travel to The herbal gatherers has contributed their share to which is 16 from our village the Maruthi Mooligai plants producer company. The Vadivelpuram. Now as we have our own procurement company has planned to mobilize Rs 1,00,000 as share center at Veeruveedu which is 6 km from our village, to by the end of the financial year 2012. Since the it is easy for us to market our produce. Also correct gatherers themselves are the shareholders, in addition weighment is ensured here and satisfied with the to the fair price, they will also be sharing the withheld price. Through herbal collection each of our member price when Maruthi mooligai producer company makes earn Rs1000 to 1500/month. As the rainfall is very a surplus. low this year we could not get enough herbs. hittupillai aged 44 is a herbal gatherer by Sometimes we travel as a group to distance places Cprofession. Her husband Jyothi pillai and her like Ottanchattiram, Kallimandhaiyam, Palani etc., in son Selvaraj supports her in the activity. Chittupillai search of herbs. We carry prepared food that lasts was eager to share her experience in herbal collection for one or two days, stay there for 4 to 5 days, acitivity. "We usually go as a group of 5 to 10 women sometimes even a week to gather the herbs. We for gathering herbs. Our work starts at 6 am and usually stay in our relative's house." Gathering Nerunji extends to 5 to 6 pm. We travel few kilometers in pods is a very difficult job, since the thorns in the search of herbs. The knowledge about herbs pods will pierce our fingers. We used to have a cotton transferred through generations helps us to identity cloth band over our fingers while plucking. Yet the the herbs easily. We collect thulasi, vatta sarana kodi, pods pierce our fingers and hence they have got Seendhal Kodii, Nernji kaai and Nernji plants, neem hardened over the years

Viruveedu procurement center Viruveedu procurement center in Batthalagundu was opened in 2006 to enable the herbal gatherers in 32 villages around Batthalagundu to sell that produce at a fair market price. Eighteen Primary producer groups and 250 members were benefited through this center. The center has a railway weighing scale, tarpaulins, gunny bags and enough storage space for storing the herbal produce. Two business associates were also recruited to support the process. On peak season Rs10000-30000/ worth of worth of medicinal plants will be procured each day through this center. When the total quantity procured reaches 5 tonnes, it will be transported to the Storage godown in Silvarpatti. Silvarpatti storage godown also receives produce from Periyakulam procurement center. The major medicinal plants procured in this center Thulasi, Vatta Sarana Kodi( Punarnava), Mevaanelli, Sakkarai Kolli leaves, Neem Leaves, Karisalaangani and Keezhanelli. Pirandai, Morniga leaves, Vallaarai, Siriyaanangai, neem dried fruits, Oridhazh thamarai, Mudakkathan, Seendhil kodi, Vatta sarana roots, Avaram poo and leaves, Kozhinji, Nannari roots, Umathai leaves, notchi, parpadagapul and Manjanathi kai also are procured through this center. 12

Feature Justice at door steps: Microjustice R.Anusha * Background

Access to justice for smaller legal issues confronted by them remains elusive for larger proportion of poor people living in our country. This obstacle hinders their active participation in the society and thereby their social development. Making easy the provision of justice to such micro legal problems in termed as 'Micro justice'. In other words, Micro justice is a support centre for poor people especially woman for making justice accessible and affordable against domestic violence, dispute relating to property and labor and against social issues. Providing timely justice right at their door steps for their socio economic development involving the principle of grass root democracy remains the core in this concept. Micro justice is one of the initiatives in the global movement of women self empowerment and  To empower the federation leaders/Kalanjiam. Tank has a very practical application in women based SHG and Panchayat leaders for getting Justice to their federations, where a platform for executing this system members for sustaining the socio economic already exists. condition of the family. Objectives of this Programme  To create a space in important forum like Panchayat/ corporation/ lok adalath, Family court as counseller,  To create awareness on the issues faced by the Police station Counseller for access to get the justice members families from the people’s organisation with affordability. promoted by DHAN.  To support to members for getting Justice against  To facilitate the grassroots democracy at village or domestic violence disputes regarding exorbitant slum level through Federation. Interest, Purchasing Land.  To ensure the basic rights of Kalanjiam, Tank and  To strengthen Kalanjiam Movement. Panchayat members

*Ms. R.Anusha, Programme Officer, DHAN Foundation 13

 Value building of Kalanjiam, Tank and Panchayat judicial. Our people institutions are nurtured towards member families in relevance to Micro justice working as a democratic institutions and they have a (preventing misuse of family ration card, government well defined executive and legislative system in welfare schemes, illegal occupation of government operation. The Incorporation of Judiciary system into lands) these institutions will enable them to function as a full- fledged people institutions. Hence the concept of Micro Why Micro justice Programme in DHAN People justice was introduced and piloted in few people Institution: In all democratic institutions, we find the three important systems viz. Legislative, Executive and institutions. The concept is being presently in operation in seven federations across four thematic programs

S.No Programme Federation

1 Kalanjiam Foundation 1. Sellur and Pudhur Federation 2. Gangai Federation 3. Kottampatti Federation

2 Vayalagam Foundation 1. T.Kallupatti Federation 2. Kottampatti Federation

3 CALL programme 1. Ramnad Federation

4 Panchayat Programme 1. Palamedu Federation

Dhan’s Experience in integrating Micro finance federation. A training programme for selected leaders’ in to Micro justice: Dhan’s experience in Micro finance on Micro justice was conducted. necessitates the integration of Micro finance activity with various sectors and sub sectors. Micro finance Principles for Micro justice has emerged as a successful tool in alleviating rural The following principles are to be ensured in poverty. Access to Micro finance services helps the delivering micro justice through our people institutions. poor to expand their choice for live hood opportunities and improve the quality of their life. The program has 1. Creating a space for sharing:- SHGs are the successfully integrated with health, education, livelihood forums created already among the members. The and micro insurance schemes. regular monthly meeting provides a space for sharing the legal issues the members face. The members Process followed: To integrate micro justice with can also share their problems in their cluster the existing components of the different federations, meetings. earlier experiences of the federations in handling local 2. Space for Interaction: The member register/voice legal issues was documented, workshops with people her concern during the regular meeting. The special leaders were organized at regional level and a idea note forum constituted in the federation would visit the was generated. People insitutions for piloting this concept was idenfitied, system and structure for micro member, interact with her and document the issues justice was created. The people and the staffs of the in detail. federation were enabled through series of capacity 3. Consultation: The issues faced by the members building programs and legal aid camps. A committee needs to be brought to the notice of the federation, for Micro justice was formed with selected nine leaders consultation will be done at federation level forum from three federations initially. As the program expanded for making suggestion and evolving alternatives. to other federations, new leaders were selected and at 4. Facililtating Negotiation: The federation to present there atre eight leaders each representing one facilitate resolve the issue through negotiation 14

between the two concerned parties. is to provide inexpensive local machinery for rendering 5. Facilitate for decision making: Decision making legal services of basic nature like legal advice, drafting needs to be facilitated rather taking decision on behalf of petitions, notices, replies, applications and other of them. documents of legal importance and also for resolving 6. Transparency: Concrete decisions made to resolve the disputes of the local people by making the parties to the issues and should be made transparent. see reason and thereby preventing the disputes reaching courts. The legal aid clinic is for the benefit of the people Collaboration with stakeholders in the locality, the local body institutions should be impressed upon the need to co-operate with the To ensure effective delivery of services, the people functioning of the legal aid clinics and to realise that the institutions were facilitated to collaborate with Legal legal aid clinic is aimed at promoting peace and welfare Aid movement and also with the National Legal Services of the people in the locality. Legal aid clinic shall work Authority (NALSA). Legal Aid is a movement that like a single-window facility for helping the envisages that the poor have easy access to courts and disadvantaged people to solve their problems where the other government agencies. It implies that the decisions operation of law comes into picture. rendered are fair and just taking account of the rights and disabilities of parties. The focus of legal aid is on Functioning of legal aid clinic distributive justice, effective implementation of welfare  An advocate will be available at the federation office benefits and elimination of social structural on weekdays between 2 pm to 4.30 pm, on an discrimination against the poor. It was taking these specified date suggested by the federation i.e., he mandatory provisions of The Constitution of India in will be available one day/week on the specified week mind that the Parliament passed The Legal Services day Authorities Act, 1987. The National Legal Services Authority is a statutory body which has been set up for  The advocate will get rotated once in a month implementing and monitoring legal aid programs in the  All the running cost will be met my District Legal country. The legal aid program adopted by ‘NALSA’ Aid Authority. include promoting of legal literacy, setting up of legal  The federation has to arrange for infrastructural aid clinics in universities and law colleges, training of facilities for running the legal aid clinic which can paralegals, and holding of legal aid camps and Lok be even the federation office premises Adalats. Duties of Advocates Colloboration with Madurai district legal aid  Availability of legal advice at the door step of the committee was done through which training for para legal volunteers was given. One hundred and twenty needy five para legal volunteers from Kalanjiam and Vayalagam  Family counseling services federations were so far trained as para legal volunteers.  Assist the members in drafting their petition  Other legal help regarding court proceedings for Apart from this eight legal aid camps were organized cases filed already in different people institutions viz., Gangai Vattara Kalanjiam, Sellur Vattara Kalanjiam , Pudhur and Vaigai The State Legal services Authorities shall conduct Vattara kalanjiams at cluster level through which 82 periodical review of the functioning of legal aid clinics. petitions were generated. Role of the Stakeholders in Legal aid clinic Legal Aid Clinics at Federations  The Block integrator monitors the follow-up action The objective of the Scheme is to provide legal in the matter in which legal assistance has been services to the poor, marginalised and weaker sections provided. of the society, especially to the people living in faraway  The lawyer so sitting in legal aid clinic is to perform places including the places with geographical barriers, like a Doctor in a hospital catering to the legal advice away from the seats of justice. The aim of the Scheme required by the needy persons. 15

 A register shall be maintained in the legal aid clinic Development News it should be maintain by block integrator, register will contain the details of counsels who have worked Major crop output to fall in the clinic, nature of advice and the details of by 0.5 per cent in 2012-13 beneficiaries. Even though the overall  Monthly progress will be sent to the region and agriculture sector is expected to copy of the report will be sent to the programme do well in 2012-13, major crop officer. production is projected to fall by 0.5  Para –legal volunteers will assist the poor litigants per cent, the Centre for in drafing,typing and presentation of miscellaneous Monitoring Indian Economy application to the office (CMIE) has estimated. This is due to fall out in production of Legal aid clinics are planned to be piloted in Gangai, non-food crops like Pudhur, Sellur, Kottampatti kalanjiam federations and soyabean, cotton and T.Kallupatti Tank federation and Mettupatti panchayat rapeseed. Cotton production at Alanganallur. A legal aid clinic is initiated at is expected to fall by 7.8 per Kottampatti on 18/07/2012. One panel advocate from cent to 32.2 million bales in 2012-13 even court will be available at Kottampatti federation though the acreage rose by over 12 per cent to 29.3 lakh on every Saturday from 2 to 5 pm, for providing legal hectares by June. A projected growth in output of livestock, aid services to our members. So far 152 petitions were forestry and fisheries, along with a modest 4 per cent rise received through the clinic. Another legal aid clinic was in production of minor crops, is expected to lift growth of the planned at Vellayampatti, Alanganallur block, agriculture sector to 2.4 per cent in 2012-13, the city-based Taluk, the village covered under pachayat and kalanjiam research agency said. Kharif cultivation of foodgrains and program of DHAN Foundation. oilseeds has been sluggish due to delayed rains. In order to boost cultivation of these crops, the Centre had Legal Literacy: Legal literacy to members of people announced a steep increase in their minimum support price institution is facilitated through the micro justice by way (MSP) last month. of training and capacity building. Exclusive brochures and leaflets are designed for the same. The legal literacy Growing NPA in SHGs is given regarding women related issues, social issues and financial issues. With respect to women related NABARD has expressed its concern over the growing issues trainings on Law of Maintenance, Domestic NPA in SHGs in the recent years, in the 2011-12 report of Violence Act, Dowry prohibition Act, Marriage and Status of SHGs in India. In absolute terms, the gross NPA Divorce (Hindu, Muslim and Christian) and Property against loans to SHGs increased from `1474 crore at the rights to women.(Hindu, Muslim & Christian) are given. end of March 2011 to `2213 crore by March 2012. In Training and awareness on laws pertaining to social percentage terms it increased from 4.72% last year to issues like Consumer Protection Act(In this act it has 6.09% during the current year. It was only 2.9% during to be categorized), Banking Service to Consumer, 2009-10. This is a matter of concern for the microFinance Consumer protection against professionals like Doctor sector and the causes for the declining performance of and Advocate, Goods related Consumer Act, Right to recovery are to be analysed and remedial action initiated Information Act, Human Right Act and Registration of urgently. The total gross NPA against loans to SHGs stood Birth and Death Act 1969 is being given. Training on at `2212.74 crore as on 31.3.2012 against the total Exorbitant Interest Act, Negotiable Instrument Act outstanding loan of `36340 crore. Among the regions, (Pronote), Banking Act, Non Banking Finance and southern region with a NPA of 4.98% (3.79% last year) Insurance Act also are being given on need basis to was the lowest while Central Region with an alarming people institutions. 13.2% (10.7% last year) was the highest. What causes grave concern is the high NPAs in major states like Uttar Pradesh (12.5%), Odissa (11.9%), Tamil Nadu (9.6%) and Kerala(9%). 16

Grassroots Stories Coir changed my life S.Shankarapandian * Introduction

Jaya aged 36 is a very ordinary woman living in a village called Silvarpatti, in Periyakulam Taluk, Theni District, Tamilnadu, India. No one expected that she would one day become an entrepreneur and also become the Secretary of Periyakulam Coir Cluster Kalanjiam producer company Ltd. How she got this opportunity and grabbed it to raise her standard of living and also her leadership qualities. This is her story

About Jaya's Family

Jaya was one among the six children born in Silvarpatti village in Periyakulam taluk. Jaya has two elder brothers, two younger brothers, and one younger sister. Her father worked in Electricity Board as Lineman and expired 15 years ago. Her mother used to look after the five acres of agricultural land, which their family owned. Her eldest brother got a job in the electricity board on compassion grounds. The second However he was advised not to do any work that eldest brother is looking after agriculture. Her two required more physical stress, so used to go for simple younger brothers were working as daily laborers in a cooli works which fetched low wages. Jaya felt too nearby spinning mill. Her younger sister got married difficult to run the family and take care of her three and presently settled in Madurai children with the meager income earned. They were in a financial stress. Jaya's Married life To take care of the family Velmurugan decided to Jaya got married to Mr.Velmurugan in 1991 at the go to Kerala for Construction work, where the wages age of 21. Velmurugan belongs to the same village are more than in Tamil Nadu. He left is family and worked Silvarpatti where Jaya was born. He had 1.75 acres of there for six month and later shifted his family to Kerala. land, of which 0.75 acres is rainfed land. He also used They lived there for five years. Though the wages were to work as agricultural laborer. Her married life was good, the expenses were high and they could not save pathetic. Her husband earned a meager income and also any money. He earned Rs200/ day and around Rs5000 died at a very early age of 33 due to sudden heart attack. to Rs5600/month. A part of the money also went to Her married life just lasted for 12 years. However Jaya meet the medical expenses. Unable to cope up with the was blessed with three sons situation and realizing that life was no better here, Jaya suggested that they can return back to Silvarpatti village Velmurugan used to do agricultural works in his own itself land so they returned. On his return Velmurugan land and Jaya was satisfied being a homemaker. Her started a small tea shop and a cycle shop in Silvarpatti husband was the only source of income to the family. village. The shop gradually picked and they were able One day, by third year of their marriage, her husband to earn good income, which touched even Rs1000/day had the first heart attack. He was admitted in at times. So the entire family felt happy and started Government hospital at Periyakulam for the treatment, regaining their confidence. They joined the kids in got recovered and got back home after three months. English medium school since Jaya was keen in giving

*Mr. S.Shankarapandian, Project Executive, DHAN Foundation 17

good education to his children. The fate struck then. litres per day and these used to be procured by a dairy Velmurugan had the second heart attack in 2003 and producer group promoted by Kalanjiams in the village. this time he did not survive the attack. The price was Rs17.50 /litre and hence this also contributed to the income of the family. .Jaya felt hell struck. The future was dark and she did not even mingle with others for the next three Jaya became a much more confident woman and months. Some of the women in neighborhood suggested started exploring more. Her interest turned towards the that she can join the self-help group called Murugan Periyakulam Coir Cluster Producer company (PECOCK) Kalanjiam, promoted by DHAN Foundation and which promoted by DHAN Foundation for benefits of families was managed by Periyakulam Vattara Kalanjiam, a involved in coir making business. The company was Federation of Women Self-help. Hoping that it will give located at Sengaulthaapatti Village, in Periyakulam Taluk, some relief to her problems and at the same time without Theni District. Jaya paid Rs10000 as a share capital to much confidence she joined Kalanjiam in 2003. the PECOCK PC and also became the Secretary of the Producer Company. At the same time she also started After Joining in Kalanjiam: working as a laborer in this unit which fetched her additional income of Rs150/day. Jaya had the ability to Jaya was forced to look after the agricultural land learn things quickly. She now operates all three kinds of 1.75 acres that their family owned and started even of machines in the unit (i.e. Willowing, Slivering, and working as agricultural laborer to take care of her AYS). In addition to that she learned producing of frame children. She used to cultivate crops like Maize, cotton, Matt of different designs and shapes. She earns upto tomato and flowers through which she could earn some 4000 rupees per month as a wages in this unit. income. Jaya used this income to save and to get small loans from Kalanjiam to meet her family consumption Jayas sons also grew meanwhile. Jayas sons were needs, which she would promptly repay. Jaya knew now aged 20, 17, & 15 respectively. First two sons did tailoring which she learned at the age of 18. Later she schoolings upto 9th Standard and now working in thought that she can buy a tailoring machine of her spinning mill at Coimbatore earning Rupees 5000 per own and Kalanjiam helped Jaya in getting tailoring month and last one doing 10th standard currently. Jaya machine to do business from her home itself. She used used to feel sad that even his younger son was not to stitch upto five jackets per day at the rate of rupees keen in his studies. The youngest son looks after the 20 per jackets. From this she used to earn minimum of milch animals and not a regular attender to school. When rupees 100 per day (i.e rupees 3000 per month). This enquired he said to Jaya that he has no interest in study improved her family situation to some extent. and pursing 10th standard only because of the compulsion. "I wished that all my three sons should Later she thought of buying a milch animal for get educated well and settle well in their life unlike their which also Kalanjiam supported. The milch animal is father. But they stopped and studies and went to work" looked after by her younger son. The animal yielded 12 Jaya used to feel. Table. 1 Jaya's Savings and Loan Status in Murugan Kalanjiam S.No In the Year Savings Loans Repayment Interest 1 2006-07 3326 16200 1700 1271 2 2007-08 4782 14699 2799 2491 3 2008-09 6271 22557 3207 3075 4 2009-10 6271 22557 3207 3075 5 2010-11 9151 79100 49851 2868 6 2011-12 10599 29249 10279 214 7 2012-13 10026 3826 5018 - 8 2012-13 II Loan 18000 2858 655 18

Despite this only concern Jaya was satisfied with the present day situation of her family. Her family now has sufficient income from different sources, all because of the confidence Jaya gained after joining Kalanjiam.

Table. 2 Income of Jaya’s family/month- March,2012

S.No Particulars Income Per Month in Rs 1 Earning from Coir Unit 3200 2 Earning through Milch animal 210 3 Jaya’s first son earns 5000 4 Jaya’s Second son earns 5000 Total 13410

Jaya’s other contributions building a New warehouse to store the finished produce separately and to buy a vehicle for the PECOCK PC to Jaya used to play a active role as a Kalanjiam pick up and drop the company employees. In the next member. She supported the federation to form three five years she also plans the PECOCK PC to go for a new Kalanjiam groups in Silvarpatti village by explaining value added products like Pith Block, Geo textiles, etc., its merits to the people. She helped five members in which still can give higher returns. different Kalajiams to get their life insurance coverage claim at the right time. She also created awareness about availing scholarship from Kalanjiam to the unknown Imidacloprid found to kill bees members. She explained the merits of paying Medical and Life Insurance to the various groups in the Silvarpatti Imidacloprid is the bestselling neonicotinoid insecticides all Cluster and played a vital role in enrolling all members over the world including India. The pesticide is used to kill in those schemes. She also renders her support for sucking and biting insects. A study published in the German problem solving among Kalanjiam members and science journal Naturwissenschaften, reveals how bees given minute doses of the widely used pesticide imidacloprid became addressing repayment issues. more vulnerable to infections from a deadly parasite, nosema. Impact of Kalanjiam on Jaya’s life Bee experts described this as clear evidence of the role pesticides play in the plight of bees. Although research into the  Jays’s self- confidence and leadership qualities furry insects may seem like a very academic exercise, bees improved by miles. are vital to human survival. More than 70 of the 100 crops that  She became a Director in a Company by paying provide 90 per cent of the world's food are pollinated by bees, Rs.10000 as a Share Capital. and Albert Einstein once predicted that if bees died out, "man would have no more than four years to live."  She owns 8 Sovereigns of gold purchased after her husband’s death from the various livelihood activities The study, led by Dr Jeffrey Pettis, the head of the US she undertook. Department of Agriculture's Bee Research Laboratory, says:  She repaid Rs.50000 external loan she borrowed "We believe that subtle interactions between pesticides and from a local money lender long time ago pathogens, such as demonstrated here, could be a major contributor to increased mortality of honey bee colonies Jaya’s Future Plan worldwide." Researchers found that bees deliberately exposed to minute amounts of the pesticide were, on average, three Jaya wishes to purchase a land and built three times as likely to become infected when exposed to a parasite separate houses for her three sons and marry them. In called nosema as those that had not. The findings, which have taken more than three years to be published, add weight to work, she mobilizes more number of labors to work in concern that a new group of insecticides called neonicotinoids the producer company. She made to operate the coir are behind a worldwide decline in honey bees, along with unit for minimum of two shifts and maximum of three habitat and food loss, by making them more susceptible to shifts per day in profitable manner and she wishes to disease. increase the profit further. She also has plans for 19

Periyakulam Coir Cluster Producer Company Limited

Theni District of Tamilnadu was known for their coir units which used to remain scattered and not concentrated. The coir industry was first introduced in Kombai of Cumbum block, as a source of alternative employment for the tea estate laborers, when they encountered problems in estate works, about two decades back by some youths of CPI party. Since 10 years, the business proliferated among other areas of the district but the spread was relatively slow in this cluster when compared to the total national growth of the industry. The coir industry spreads over 6 blocks namely Periyakulam, Theni, Cumbum, Uthamapalayam, Chinnamanur and Mayiladumparai of the district which are well apart from each other. Concentration of units is more in Cumbum block (mostly decorticating units) whereas in other blocks only few units have been established. It is an industrial cluster in a sense that 75% units are totally commercialized big units whereas only 25% of units are small and household.

To safeguard the interests of small scale coir units operating in Periyakulam Taluk of Theni District, DHAN Foundation promoted the Periyakulam Coir Cluster Producer Company Limited which got registered on Febraury 16, 2009. The producer company has a 10 member board with Mrs. Shanthi Venkatachalapathi, Mrs.Murugeshwari Sadaiyan and Mrs.Jaya Mookkiah as President, Treasurer and Secretory respectively.

The Producer Company was formed after giving sufficient training to those involved in coir making. An exposure visit was arranged to Singampuneri Coir cluster where Coir pith making, Coir Spinning, Coir frame matt, Coir handicrafts, Coir automatic yarn spinning etc. were in operation. An awareness meet involving different stake holders like District Industrial centre, Coir Board, Canara Bank, local entrepreneurs and Kalanjiam members was organized on 11th Nov, 2008. A coir exhibition for identifying potential sellers and buyers was also organised. Capacity building of people involved in coir business, who were the members of Primary producer groups in Devadanapatti, Samathuvapuram, Jayamangalam, Melmangalam and Muthalakkampatti villages was done with the support of Coir Board.

Establishment of Common Facility Centre (CFC)

A common facility center from where community could access services for production of coir fibre and provides a common platform for the women to work and earn profit from production was established with the support of Periyakulam Coir fiber workers Industries Cooperative society which gave 50 cents of land on a long term lease basis to District Industries center, Theni which was the implementing agency. DHAN played a vital role in establishment of this center by enrolling all the stakeholders. The factory building was established at the cost of Rs9.50 lakhs in 2012 square feet. An office building and workers amenities were constructed at the cost of Rs. 1.62 lakhs in 170 sq ft.

Machineries

Automatic yarn spinning units (9 numbers), Willowing machine (3), Silvering machine (3), Hand winding machine (3), Bobbins (60) and Unwinding machines (3)were purchased at the cost of Rs. 12.25 lakhs and installed in CFC. 20

Event One Village-One Variety scheme launched

One Village- One Variety scheme, a project on Cotton participated in the event. Mr. Sangu Murugan, Cultivation was launched in Sengapadai Village, Community Accountant of Thirumangalam Uzavar Thirumangalam, Taluk, and Madurai District on Maamandram delivered the welcome address. 09.08.2012. This scheme of Cotton Corporation of India (CCI) is implemented in Sengapadai and surrounding Mr. P.T. Pillaivaar, in his inaugural address said that villages by DHAN Foundation, under its rainfed "this One village-One variety scheme is a trigger project agricultural development program. The Thirumangalam and is to be implemented for three years. CCI has Uzavar Maamandram, the federation of rainfed farmers supported the rainfed farmers in this area with technical promoted by DHAN Foundation will play a major role guidance for the past two years, because of which the in implementing this scheme. cotton yield has increased from 3 quintals/acre to 7 quintals. However this yield is not sufficient and we The Mr. P.T.Pillaivaar, General Manager of Cotton have to aim to produce 15 quintals per acre. I hope Corporation of India (CCI) presided over the function. that this is the right time for the farmers to adopt the Mr. Palanisami, the Program Leader of the Rainfed latest technology in rainfed cotton cultivation and go agricultural development program of DHAN foundation, for good quality seeds, which can bring a tremendous Dr. Chellaiah, Professor and Head, Regional Research change in the lives of farmers ". He asked the farmers Station (RRC,TNAU), Arupukottai, Dr.K.Rajendiran, to go in for quality seeds available with agricultural Professor of Agronomy, TNAU, Coimbatore, department and Srivilliputhur Cotton Research Station Dr.Rajaram, Professor of Entomology, RRC, rather than using seeds from ginning factories supplied Arupukottai, Mr.Sundar rajan, General Manager, by local merchants. The aim of CCI is to increase the Kalanjiam Thozilagam Limited(KTL), Madurai and 200 yield with low cost of inputs for optimizing returns, he farmers from Sengapadai and other rainfed villages added. 21

Mr. Palanisamy said "DHAN Foundation is working for the next crop should follow immediately after the here from the year 2002, since we started implementing harvest of the standing crop, in rainfed conditions. the National watershed development project for rainfed Cotton crop should not be left as such in the field after areas (NWDPRA). About Rs20 lakhs worth of work it stops yielding and should be ploughed down. Summer was done in this village, through which 400 wells got ploughs using disc plough, makes land uneven and rejuvenated, oorani's were de-silted, farm ponds were enables the land to save more water by preventing run constructed and drinking water facilities were made. off. It also controls weed growth. Applying enriched Collaboration with CCI happened two years ago through farmyard manure can be practiced by farmers, since which technical training; soil testing and farm inputs bulk loads of FYM is unavailable nowadays and were given to the farmers. Mr.Palanisamy also thanked transportation costs drills a hole in farmers pocket. the CCI,TNAU, Coimbatore and RRC- Aruppukottai for Instead of five tonnes of FYM, 300 kg of FYM can be their regular support in giving technical guidance for enriched with 50 kg of super phosphate and can be cotton cultivation in villages around Thirumangalam. applied after 30 days. Buying quality seeds and seed Mr.Palanisamy also briefed about the Thirumangalam treatment with carbendazim/trichogramma after de- Uzhavar Mamandram, the federation of farmers which linting will control occurrence of sucking pests to large plays a major role in improving rainfed farming in these extent. Instead of broadcasting of seeds, line sowing villages. Crop insurance plans were introduced here and should be practiced, which will reduce the cost of labour 149 automatic rain gauges were installed to measure in weeding and also helps to maintain adequate plant the impact of drought. He said that farmer's cooperation population. Split application of fertilizer, basal and the is the most important aspect for success of any two top dressings (after two weeding) should be agricultural intervention in the area. practiced. The most important thing is the care during plucking. It should be ensured that only the full matured Dr.Chellaiah gave technical guidance for seed to seed pods get plucked. Also while marketing segregate the cotton cultivation during his speech. He stressed that good quality ones from pest infested pods, so that better good quality seeds and timely sowing decides the yield price is ensured for the produce. of the crop. "He added that the one village and one variety scheme is to ensure that a single variety is sown Dr.Rajendran, in his speech said that the demand by all villagers during the same time, which helps in for cotton in India is 245 lakh bales. Last year 320 lakh easy pest management". He said that land preparation bales were produced and the excess got exported. This 22

year 30 % reduction in cotton production is expected. also high to a tune of 25 quintals /acre, where farmers Maharashtra, Gujarat, Punjab, Haryana, Rajasthan, Tamil here struggle to get even 7 -10 quintals. Nadu and Andre Pradesh are among the 11 states that grow cotton in India. 50 % of the cotton produced Dr.Rajaraman delivered a lecture on pest comes to ginning mills in Tamilnadu . The demand for management in cotton. Stem weevil menace was cotton in Tamilnadu every year is 120 lakh bale(1 bale expressed as the major problem and he suggested usage = 170 kg cotton), while the production in Tamilnadu of Imidachlorprid @ 5ml/kg for seed treatment and accounts only to 5 lakh bales. He also expressed that further spraying of Chlorpyriphos @ 1ml/liter after 15 there is high potential for getting higher yield and advised days of sowing, apart from neem cake application farmers to go far line sowing and continue to grow @100kg/acre after last plough. Mr.Sundarajan, from SVPR-2 variety that is most suited to Thirumangalam KTL, expressed his concerns that even after repeated belt. He also asked the farmers not to go far Bt cotton, requests many farmers are reluctant to adopt line sowing, since they fetch low price in cotton markets than the which really can assure good returns apart from Surabhi cotton. He also shared his experience during reducing the weeding cost. He said seed treatment is his visit to Brazil. He said he was astonished to see like giving immunization for babies and farmers should domestic water being efficiently for irrigating cotton realize its importance. crop, in villages that suffers from water and rainfall Ms.Kalavathi, President of the Sengapadai Panchayat scarcity. Water is used very cautiously by the people Union, thanked the gathering. there, knowing its importance. The cotton yield was

Thirumangalam Uzhavar Mamandram -A brief

DHAN Foundation initiated its rainfed agricultural development program in 2nd Oct,2002, in Thirumangalam and surrounding villages. Farmers groups were formed as a part of this program, which grew gradually and now got established as Thirumangalam Uzhavar Mamandram, managed and run my farmers themselves

Total Farmers groups : 116 Total Families covered : 1828 Villages : 30 Panchayats : 16 Savings : 73.13 lakhs Member loan outstanding : 82.87 lakhs Bank loan outstanding : 28.93 lakhs Common Fund : 18.50 lakhs Loans Distributed so far : 757.59 lakhs Total Bank loan availed so far : 59.44 lakhs

Association with other organizations  With CCI to implement One Village – One variety scheme  With NABARD to form farmers groups, give trainings and exposure visits  With IDRC & SIDA to implement Revalorizing small millets in South East Asia in Thirumangalam Block 23

Book Review Confessions of a Microfinance Heretic How Microlending lost its way and Betrayed the Poor

Confessions of a Microfinance Heretic- How Microlending lost its way and betrayed the poor was a book written by Hugh Sinclair who had first hand experience on working in microfinance institutions and also in some microfinance funds. This book seems like a sequel to the book "Confessions of an economic hitman" by John Perkins. In an impressive style of writing filled with wits and sarcasm Sinclair shares about Microfinance institutions, microfinance funds, rating agencies and peer to peer microfinance institutions. He however does not find fault with the concept, but with the way in which it is misused by the greedy MFIs. The concept of Microfinance, off late was used with selfish intentions by mushrooming microfinance institutions in developing countries. India is no exception from that. Many microfinance companies operate with profit motive, charging exorbitant rate of interest and poaching the customers of other MFI.

Sinclair says his claims will be neglected and brushed away, by the giants in the field for the fear that it will put an end to the image as "savior of poor". The books capture the irony of the loans which are meant to benefit poor through productive utilization being used for non- productive purpose by and large. The book also says how exorbitant rate of interests even more than 100 % is charged by many MFIs. real status of LAPO was exposed by rating agencies Sinclair narrates his first experience of like Microrate and Planet rate. computerizing the all the branches of a MFI called LAPO (Lift above Poverty organization), functioning in Nigeria. Hugh Sinclair states with humor about how He along with an expert Jose Manuel, tried to install a proposals are made by few institutions. Sinclair had reasonably good software called M2 in LAPO. The the opportunity to come across a proposal written by process began with streamlining the manual accounts the organization Triple jump( presumably where Sinclair which turned out to be a very tideous process as the worked) to facilitate funding to LAPO. The proposal to data was inaccurate. He goes into detail about the Calvert foundation was nothing but a cut and paste of lending practices of LAPO which is beyond all ethical the proposal submitted to ASN-Oxfam. Triple Jump standards. LAPO not only charged exorbitant interests, the Organization which did the due diligence for both but also collects savings from the poor which is against the organizations covered the real facts and gave a rosy the law, has high turnover of clients, high default rates picture about LAPO to facilitate funding. Sinclair who and which provides false information to funding worked for Triple Jump was forced to quit the job, agencies. Hugh Sinclair also states how the microfinance since he questioned these anomalies but won a court funds like Grameen Foundation USA, Oxfam Novib, case in his favor and got a lump sum settlement in the Calvert Foundation, BlueOrchard, Kiva etc.. which process. funded LAPO turned blind to this fact, even when the 24

The Microfinance funds, the MFIs and the so called of kiva. The donor can choose which member and experts in the field were very careful enough to protect which activity they can finance and he was facilitated the image of MFIs as savior of poor and neglect the even to lend amount even as low as twenty dollars. facts. He also captures how multiple lending and bad Kiva also assures that the amount will be returned to appraisal led to downfall of MFIs in Nicaragua and the donor in the span of three years without any interest. Andrapradesh in India. He also analysis how This no cost fund thus received Kiva from donors, Compartamos and SKS floated shares, which only when ultimately reaches the poor comes with an benefited the workers in the respective organizations exorbitant interest rate tag. and also the CEO of Accion, who earned a substantial income because of her decision to invest in He also mention about the "no pago" movement in Compartamos. Nicaragua, which is the result of unhealthy lending practices and multiple lending. A single kite maker Sinclair also notes the double standard of Mohammed managed to get loan from all the 19 MFIs that were the Yunus of Grammeen Foundation,who speaks against part of Nicaraguan Microfinance association. MFIs which act as loan sharks but in reality continue to have relationship with them. Sinclair also quotes how Sinclair also notes that there are also good MFIs the same photo of a women beneficiary that appeared which follow ethical standards in lending. Some these in the website of three different NGOs including Kiva. MFIs are smaller MFIs but the impact they make on Kiva the P2P model clearly exploits the emotions of the lives of poor are great. To solve the problem of the donors in best of interest of its growth. The P2P exploitation by MFIS Sinclair suggests for a cooperative model of the Kiva, boasts of the individual donor to model in microfinance. know who the ultimate beneficiary was even while The member owned people SHG federations operates donating online. The case studies of the members and on cooperative principles built on a suitable model was groups along with their photo will feature in the website perhaps the one Sinclair means.

Development News Urea deep placement technology

Urea is the nitrogenous fertilizers widely used by millions of rice farmers across the globe both forirrigated and rain-fed rice. Many farmers still practice broadcasting method of urea application to fertilize paddy plants standing in flooded water. This practice is highly inefficient - about two-thirds of the fertilizer is lost as greenhouse gas or becomes a groundwater pollutant. A technology called Fertilizer deep placement (FDP) is followed in Bangladesh, which ensures 40 % more efficiency of urea utilization. IFDC a public international organization addressing critical issues such as international food security, has joined hands with Bangladesh Ministry of Agriculture and the Rice Research Institute and the private sector (small private entrepreneurs) to develop FDP technology based upon urea supergranules (when used with urea fertilizer, FDP is called UDP - urea deep placement). Urea deep Placement is a simple but a very effective technology which involves the placement of 1-3 grams of urea supergranules or briquettes at a 7-10 centimeters (cm) soil depth shortly after the paddy is transplanted. UDP increases nitrogen use efficiency because most of the urea nitrogen stays in the soil, close to the plant roots where it is absorbed more effectively. The benefits of the technology are significant - a 20 percent increase in crop yields and a 40 percent decrease in nitrogen losses.

By 2008/09, the Bangladesh Department of Agricultural Extension spread UDP technology to 500,000 hectares (ha) of paddy fields, increasing production by 268,000 metric tons (mt) annually. Farmers using UDP had additional annual net returns of $188/ha. (Bangladesh's average per capita annual income is about $500.) UDP use reduced Bangladesh's urea import costs in 2008 by 50,000 mt, saving $22 million in fertilizer imports and $14 million in government subsidies. The additional rice has made 1.5 million more Bangladeshis food secure. The Government of Bangladesh began expanding UDP technology in 2009 to 2.9 million more farm families on 1.5 million ha. In 2011, rice production is expected to increase by almost one million mt, ensuring food security for an additional 4.2 million Bangladeshis. FDP trials have also been conducted in Afghanistan and India. In India, IFDC scientists examined the effect of deep placement of briquettes made of urea, diammonium phosphate and potassium chloride compared with broadcasting NPK (nitrogen, phosphate, potassium). Deep placement resulted in similar or higher grain yields obtained with 40 kg/ha less nitrogen used. Development Cartoon

Human exploitation has caused extensive damage to our natural resources. We have to reverse this trend by protecting them and through judicial usage

Art by: Mr.Sundarrajan, CDC, DHAN Foundation Tank silt to enhance soil health

oils contain over three Stimes more carbon than the atmosphere and nearly five times more than plants and animals produce. They represent a significant source of greenhouse gases, but they also have the potential to store carbon if the right management is applied. Organic matter is a major contributor to soil fertility as it binds nutrients to the soil, thus ensuring their availability to plants. It is the home for soil organisms, from bacteria to worms and insects, and allows them to transform plant residues, and hold on to nutrients that can be taken up by plants and crops. It also maintains soil structure, thereby improving water infiltration, decreasing evaporation, increasing water holding capacity and avoiding soil compaction. Adding organic carbon to the soil in the form of tank silt excavated from the tank bunds can counter the effects of climate change on soils.

DHAN Foundation 18, Pillaiyar Koil Street, S.S. Colony, Madurai 625 016. Tamil Nadu, INDIA Tel.: +91 452 2610794 / 805 Fax: +91 452 2602247 Email: [email protected] Website: http://www.dhan.org